Before plenary debates took place, the House appropriations committee’s subcommittee approved the realignment of over P255 billion from the Department of Public Works and Highways’ (DPWH) flood control funds.
The task of reviewing amendments fell to the budget amendment review subcommittee (BARSc), which replaced the traditional and severely criticized small committee.
Sector-wise, the subcommittee under the appropriations panel prioritized allocations for health, agriculture, education and government assistance, significantly increasing the budgets of the agencies concerned.
Here’s how 27 government agencies and fund items benefited from the flood control fund realignment.
Health (DOH, PhilHealth)
One of the largest allocations went to the Philippine Health Insurance Corp. (PhilHealth), which received a P60-billion increase – nearly a fourth of the P256.5 billion realigned funds.
In the National Expenditure Program (NEP), the executive branch had proposed P53.26 billion for PhilHealth’s 2026 budget. Congress previously stripped off government subsidies from the state insurer in 2025, citing ‘excess’ or ‘surplus’ reserves PhilHealth failed to utilize.
The funds allocated to PhilHealth, a government-owned and controlled corporation (GOCC), are largely dedicated to supporting indirect contributors by serving as their premium contributions. Indirect contributors are composed of indigents, senior citizens, persons with disabilities and solo parents.
With the additional P60 billion, PhilHealth’s budget would rise to at least P113.26 billion to support the country’s universal health care program and expand benefit packages and case rates available to Filipinos.
The state insurer also funds the zero-balance billing program promoted by President Ferdinand ‘Bongbong’ Marcos Jr., which allows PhilHealth members to receive free services and admission when confined in basic or ward accommodations of Department of Health (DOH) hospitals.
The DOH also received a P29.28-billion increase – well above its P16.58-billion request – bringing its proposed 2026 budget to around P289.47 billion. The amount also covers additional funding for the Philippine Children’s Medical Center (PCMC).
In the NEP, P260.19 billion was earmarked for the DOH, excluding the attached corporations and agencies.
DOH, PCMC get P29.28 billion from flood control funds
Combined allocations to the DOH and PhilHealth make health the sector with the largest share of the rechanneled flood control funds, surpassing a third of the total realignment.
Agriculture (DA, NIA, DAR)
After health, agriculture emerged as the next major priority, with P44.97 billion realigned to the Department of Agriculture (DA), the National Irrigation Administration (NIA) and the Department of Agrarian Reform (DAR).
This represents roughly 17.5% of the realigned funds.
The BARSc proposed a P39.37-billion increase for the DA, much of which would go to farm-to-market roads, rehabilitation of post-harvest facilities and financial subsidy for farmers and fisherfolk.
This allocation is about P9 billion higher than the DA’s request for P30.44 billion in additional funding, bringing the House-proposed budget to P174.31 billion in new appropriations.
Meanwhile, the NIA and the DAR received far less than what they sought, with the committee granting them a P5 billion and P600 million increase, respectively.
Agriculture receives P44.97 billion from flood control funds
While less than its 2025 budget, the augmentation would bump up NIA’s budget for 2026 to P50.07 billion. The DAR’s budget was also increased to nearly P18 billion, around P7 billion more than its 2025 budget.
Education (DepEd, DOST, CHED, TESDA)
With an expected budget exceeding P1.224 trillion, education – spanning basic and higher levels and related programs – received the third-highest share of the flood control fund realignment (14.5%).
The Department of Education (DepEd) is set to receive more than twice the additional funding it requested, with P26.55 billion realigned from flood control funds, largely for classroom construction and rehabilitation, facility improvements and the school-based feeding program.
The Commission on Higher Education (CHED), meanwhile, was granted P9.31 billion more funds, exactly how much it requested to fund the tertiary education subsidy and Tulong Dunong programs for universities and colleges.
To also settle the three-year funding gap of the Free Higher Education program, the committee agreed to allocate P12.3 billion from CHED’s budget and Congress’ funds during the plenary debates.
However, several state universities and colleges (SUCs) are expected to receive reduced funding if their proposed budgets in the 2026 NEP are retained in the executed budget.
Included in the education sector, the Department of Science and Technology (DOST) was given P450 million, significantly lower than its requested amount of P763.8 million.
Instead of scholarship augmentation, the BARSc focused on funding the construction and rehabilitation of the Philippine Science High School in Quezon City. Only P100 million was allocated for S and T scholarships, as opposed to the requested P413.8 million.
Two programs of the Technical Education and Skills Development Authority (TESDA) focused on work training and scholarship are expected to receive P991.2 million in total from the DPWH funds. This, however, is less than a tenth of the requested P14.35 billion.
Education gains P37.3 billion from flood control funds
Social aid programs
Other than the health, agriculture and education sectors, the BARSc also proposed to augment the Department of Social Welfare and Development’s (DSWD) financial assistance programs with P35.91 billion from the DPWH’s budget cut.
The largest share was allocated to the Assistance to Individuals in Crisis Situation (AICS), with an additional P32.06 billion to support a specific number of beneficiaries. It is slightly below the DSWD’s P37.07-billion request.
AICS provides medical, burial, transportation, education, food and financial assistance to Filipino families during emergencies, ensuring aid reaches those most in need.
The DSWD’s Sustainable Livelihood Program, a capacity-building initiative for marginalized households, received the second-largest boost with P3 billion – still falling short of the agency’s P17-billion request by roughly P14 billion.
Despite the executive branch cutting funds for the controversial Ayuda para sa Kapos ang Kita (AKAP) Program, the BARSc has not proposed restoring its 2026 budget.
AKAP, which is former House Speaker Martin Romualdez’s pet project, is primarily implemented by the DSWD. It has faced criticism for overlapping with the AICS program and being perceived as a potential pork-barrel tool for lawmakers.
Cash dole-out programs get P35.9 billion from flood control funds
After the flood control fund adjustments, the DSWD may have a 2026 budget of roughly P257 billion.
Not yet final
The House continues plenary debates, where lawmakers scrutinize agency budget utilization and key programs, while budget sponsors from the appropriations committee defend allocations or pledge adjustments during the period of amendments.
This amendment period allows for revisions to line items in the 2026 General Appropriations Bill (GAB).
For example, appropriations chair Rep. Mikaela Suansing (Nueva Ecija, 1st District) promised to realign P12.3 billion to cover the free tuition law deficit as requested by concerned agencies.
Although over P255 billion has been approved for realignment to specific projects and agencies, final allocations may still be adjusted.
The BARSc, a 23-member subcommittee, reviews budgetary revisions from agencies, known as ‘institutional amendments.’ Should lawmakers seek additional funding or cuts to specific programs, Suansing said they would have to coordinate with the agencies for their requests to be considered.
Once the 2026 General Appropriations Bill (GAB) passes second reading – after institutional amendments have been reviewed by the BARSc, approved by the appropriations panel, and voted on by the plenary – no further amendments should be made.
Any more changes are expected to occur instead during the bicameral conference committee, where the House and Senate reconcile differences in the versions they approved.